Press Release

Code Green Networks Positioned in Visionaries Quadrant of Magic Quadrant for Content Monitoring and Filtering and Data Loss Prevention

Evaluation Based on Completeness of Vision and Ability to Execute

SANTA CLARA, Calif., April 24, 2007 – Code Green Networks, a leading developer of data loss prevention solutions for protecting customer data and intellectual property, today announced that it has been positioned by Gartner, Inc. in the “Visionaries” quadrant of the “Magic Quadrant for Content Monitoring and Filtering and Data Loss Prevention (CMF/DLP), 2007”* report.

According to the report, Gartner states that the CMF/DLP market includes vendors of technologies for defining sensitive information, finding and identifying it on enterprise networks and in storage, and controlling its use and distribution. Participants in the Gartner Magic Quadrant are evaluated on completeness of vision and ability to execute, and have been determined to be significant players in the market, via market presence or technology innovation, or both.

The report further states, “Many security professionals view these technologies as primarily concerned with protecting intellectual property and other valuable enterprise data from theft. Gartner maintains, however, that their true value lies in helping management to identify and correct faulty business processes and - crucially - identify and prevent accidental disclosures of sensitive data. This concern is becoming more and more important because of the compliance demands of regulatory initiatives (for example, breach disclosure laws and HIPAA) and industry initiatives, such as PCI standard.”

The Code Green Networks solution is the first data loss prevention product designed specifically for small and medium-sized organizations, and enables IT and security managers to easily monitor content flows, discover data leaks, and implement automated policies to prevent them. The CI Appliance enforces policies in all of the most widely used TCP channels including SMTP, FTP, HTTP and WebMail, and supports protection of both structured and unstructured content in over 390 different file formats, including Microsoft Office documents, CAD drawings, image files, rich media and other industry-specific application formats. A language-agnostic solution, it allows for the protection of content in any language including non-Roman character sets.

“We are very pleased by our placement in the Gartner Magic Quadrant report,” said Sreekanth Ravi, CEO of Code Green Networks. “We attribute our company’s success to a focus on creating sustainable value by providing easy to use, best-in-class, data loss prevention technologies to our SMB customers. Our automated solutions set the standard for comprehensive, affordably-priced data protection that help organizations mitigate risk and keep IT security costs low.”

The Magic Quadrant considers which vendors will likely dominate sales and influence technology directions through 2007, as well as which vendors are most visible among clients, generate the greatest number of requests for information and contract review, and account for the most new and ongoing installations in Gartner’s client base.

For more information about the report, visit www.gartner.com.

About the Magic Quadrant

The Magic Quadrant is copyrighted April 13, 2007 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

*Gartner, Inc., “Magic Quadrant for Content Monitoring and filtering and Data Loss Prevention, 2007”, by Paul E. Proctor, Rich Mogull, and Eric Ouellet, April 13, 2007.

About Code Green Networks

Code Green Networks delivers data loss prevention solutions that protect private employee and customer information and safeguard intellectual property across all electronic communications channels. The company’s easy-to-deploy, easy-to-manage content inspection appliances rapidly detect and prevent potential data leaks, helping organizations automate compliance and mitigate risks from internal breaches that can result in loss of revenue, financial penalties and irreparable damage to a corporation's image, brand and customer loyalty.

All products mentioned in the release are trademarks or registered trademarks of Code Green Networks. All other trademarks, trade names and product names are used solely for the purpose of identification and are the property of their respective owners.